Industrial developer CTP's net rental income amounted to €452.1 million in 2022, which was an increase of 38.3% year-on-year, while like-for-like rental growth was 4.5% last year, mainly driven by reversion on expiring leases and renegotiations, and supported by the 2021 indexation of 1.7%. The company's annual profit decreased by 22.4% from €1,025.9 million in 2021 to €796.5 million in 2022.
The group’s standing portfolio grew to 10.5 million sqm of leasable space, while the gross asset value increased by 35.8% year-on-year. CTP has another 1.7 million sqm of projects under development.
CTP’s CEO Remon Vos said the company continues to see robust occupier demand combined with market vacancies close to historic lows in supply-constrained markets.
“Especially the business-smart CEE region benefits from structural demand drivers such as professionalization of supply chains, e-commerce, and occupiers seeking to enhance the resilience of their supply chains through nearshoring / friend-shoring, with production in Europe for Europe,” said the CEO.
Last year, CTP delivered 1 million sqm of new industrial spaces, which added 45 million of contracted rent with another €14 millions of potential income when full occupancy is reached. The group aims to reach the same volume of deliveries in 2023.
During 2022, CTP signed leases for 1.8 million sqm, up from 1.7 million sqm the previous year, with contracted rental income of €103 million. The overall rental income amounted to €485.0 million, up 44.9% y-o-y on an absolute basis.
Main lease deals closed last year included a 99,000 sqm lease with Tesco in Hungary; 88,000 sqm with a leading international fashion retailer and 66,000 sqm with LPP in Romania.
The contracted revenues for the next 12 months stood at €589 million as of 31 December 2022, increasing 35% y-o-y and 71% over the last two years
CTP’s average market share rose in the Czech Republic, Romania, Hungary, and Slovakia from 27.5% at year-end 2021, to 27.8% as at year- end 2022 and it remains the largest owner of industrial and logistics real estate assets in those markets. The group is also market leader in Serbia and Bulgaria.
In terms of financial liquidity, CTP had €1.1 billion at the end of 2022, of which €661 million was cash. Furthermore, over €400 million of additional loan facilities have been agreed since 31 December 2022, and are expected to be drawn over the next weeks.
On the sustainability front, the company continued the roll-out of photovoltaic systems to boost its energy business and have now 38 MWp installed, while another 100 MWp will be added during 2023.
CTP proposes a final 2022 dividend of €0.23 per ordinary share, which will, subject to approval by the shareholders, be paid on 18 May 2023.
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